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Manufacturers outline the design, engineer and do the production as required for the unique products from beginning to end for customers.

During ETO, customers cooperate and work alongside manufacturing team to produce the desired end result.

Moreover, complex and unique products tend to use ETO for its production purposes. These can include improvised vehicles, telecommunications, mechanics and industrial cranes.

It is common practice in the aeronautics, military, farming, IT and chemical energy industries.

The ETO process is complicated alongside being incredibly complex. Each product is specially molded to satisfy a customer’s demands.

Moreover, every detail remains a mystery including lead times, drawings and performance data. However, the manufacturer has to give the customer production deadlines and cost estimates to secure a sale.

Engineering involvement is mandatory for ETO production right from the start. Engineering starts by narrowing down a rough outline to meet the customer’s requirements to create a proposed draft. This gives the sales team a solution to work into a proposal with accurate costs and lead times.

The process begins right after a company gets an order for the sales of a desired and unique product.

The manufacturer receives an advance of a specific amount of money and the work begins.

The engineering design team works alongside the customer. It is a focused solely on the customer. The team needs to analyze the customer’s vision and turn it to reality so that it serves the purpose.

Designing for newly demanded products is not an easy task. The design must have customer’s green signal and sign off at each stage.

It must go through testing, changes made and re-submission for approval. And this may go through several steps before going into the actual production.

Difficulties in Product configuration escalate when each customer demands each product order to be engineered.

These products are complicated and have new outlooks and appearances for every order. Using a good software like MORE-MX helps automate different phases of the process.

It integrates into your billing software, manages data, tracks inventory and automates scheduling the production process for on time delivery.

You need the right software to help manage the ETO process.

While Engineer-to-Order production can be difficult, there are certain practices that can be undertaken to make the process manageable.  These practices should be built into the manufacturer’s culture to help make the ETO manufacturing process easier:

Creativity is not limited by this. Rather, it makes it easier for the manufacturer comprehend how the product molds into its current production capability and capacity, how to accurately structure its Bill of Materials (BOMs), costing and other critical manufacturing functions and will help determine what, if any, components need to be produced by sub-contractors.

An ETO workflow has additional steps that require extensive quoting and engineering on both the sales side and the product design side.

It also requires an accurate change management system throughout the production process, and it requires continuous monitoring and assessment of the cost to make sure that real-world production conditions remain within the quoted cost structure.

Here are the basic ETO workflow steps:

Manufacturing – In an MTS system, high volumes of consistent products and production runs allow for more data points that ensure more precise costing and accurate understanding of labor, waste, take time and other variables.

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